AVITA Medical(US:RCEL)2026-01-13 13:30Loan Agreement Details - The Borrower, AVITA Medical, Inc., has requested term loans from the Lenders under the Credit Agreement dated January 13, 2026[11]. - The Credit Agreement includes provisions for term loans and outlines the conditions for borrowing[13]. - The agreement specifies that the Administrative Agent is Perceptive Credit Holdings V, LP, which acts on behalf of the Lenders[11]. - The agreement includes various defined terms related to financial and operational metrics, such as "Acquisition" and "Asset Sale"[17][22]. - The document outlines the conditions precedent for the term loans, including compliance with financial covenants[6]. - The agreement includes provisions for the repayment of principal and interest, detailing the payment structure[33]. - The Borrower is required to maintain compliance with laws and agreements as part of the affirmative covenants[69]. - The agreement includes schedules that detail commitments, products, and regulatory approvals relevant to the Borrower's operations[7]. - The Borrower must comply with all applicable Laws, including federal, state, and local regulations[98]. - The term "Obligations" encompasses all amounts and liabilities owed by the Obligor to any Lender, including principal and interest on Term Loans, with specific fees and expenses outlined[112]. - The Borrower will utilize the proceeds of the Term Loans for general working capital purposes and to refinance existing Indebtedness[199]. - Each Lender agrees to provide its share of the Tranche A Term Loan on the Closing Date in a principal amount equal to such Lender's Tranche A Term Loan Commitment[186]. - The Borrower may make one borrowing under the Tranche A Term Loan Commitment on the Closing Date, with all amounts owed to be paid in full by the Maturity Date[188]. - The Borrower must deliver a fully executed Borrowing Notice to the Administrative Agent at least one Business Day in advance of the Closing Date[187]. - The Borrower may also make one borrowing under the Tranche B Term Loan Commitment, with similar terms regarding repayment by the Maturity Date[192]. - The Borrower must deliver a fully executed Borrowing Notice for the Tranche B Term Loan at least three Business Days in advance of the proposed Borrowing Date[191]. - The Closing Fee will be paid to the Administrative Agent on the Closing Date, in accordance with the Fee Letter[195]. - The Exit Fee will also be paid to the Administrative Agent as required, for distribution to each Lender[196]. - All Term Loans will be made and participations purchased by the Lenders simultaneously and proportionately to their respective Proportionate Shares[194]. - Any principal amount of the Term Loans that is repaid or prepaid may not be reborrowed[193]. Financial Performance - The company reported a total revenue of $60 million for the quarter, reflecting a 15% increase year-over-year[42]. - The company reported a significant increase in revenue, reaching $1.5 billion, representing a 25% year-over-year growth[1]. - The user base grew to 1.5 million active users, representing a 20% increase compared to the previous quarter[42]. - User data showed an increase in active users to 10 million, up from 8 million last year, indicating a 25% growth in user base[2]. - The company expects revenue guidance for the next quarter to be between $65 million and $70 million, indicating a potential growth of 8% to 17%[42]. - The company provided guidance for the next quarter, expecting revenue between $1.6 billion and $1.7 billion, which would represent a growth of 7% to 13%[3]. - The company reported a net profit margin of 12%, up from 10% in the previous quarter[42]. - The total assets of the company increased to $150 million, a 10% rise from the last fiscal year[42]. - The gross margin improved to 45%, up from 40% in the previous year, reflecting better cost management[8]. - Operating expenses were reported at $300 million, a 10% increase compared to last year, primarily due to increased marketing efforts[9]. Strategic Initiatives - New product launches are anticipated to contribute an additional $10 million in revenue over the next two quarters[42]. - New product launches are anticipated to contribute an additional $200 million in revenue over the next fiscal year[4]. - The company is investing $5 million in research and development for new technologies aimed at enhancing user experience[42]. - The company is investing $50 million in research and development for new technologies aimed at enhancing product features[5]. - Market expansion efforts are underway in Europe, with an expected increase in market share by 5% within the next year[42]. - Market expansion efforts include entering three new international markets, projected to increase overall market share by 5%[6]. - The company is exploring strategic acquisitions to bolster its product offerings and market presence[42]. - The company is considering strategic acquisitions to bolster its product offerings, with a budget of $100 million allocated for potential deals[7]. - A new marketing strategy is set to increase brand awareness, targeting a 30% increase in customer engagement[42]. Compliance and Legal Matters - The Borrower is subject to various Health Care Laws related to the manufacturing, sale, and distribution of health care products and services[84]. - Indebtedness includes all obligations for borrowed money, bonds, notes, and other financial instruments, with a specific focus on obligations exceeding $500,000[107]. - Material Indebtedness is defined as any Indebtedness of any Obligor with an outstanding principal amount exceeding $500,000[107]. - The definition of Investment includes acquisitions of equity interests, loans, and guarantees, with specific exclusions for ordinary course trade receivables[96]. - The term "Material Adverse Change" refers to significant negative impacts on the business, financial condition, or operations of the Obligors[105]. - The Loan Exposure for any Lender is defined as the outstanding principal amount of that Lender's portion of the Term Loans[101]. - The Maturity Date is the earlier of the Stated Maturity Date or the date when Term Loans are accelerated[109]. - The definition of Indemnified Taxes includes taxes imposed on payments made by or on account of any Obligation[88]. - "Permitted Acquisition" allows for acquisitions by the Obligor or its subsidiaries, provided they comply with various conditions, including no existing defaults and prior notice to the Administrative Agent[123]. - "Product Development and Commercialization Activities" includes a range of activities aimed at commercially exploiting a product, such as research, development, and marketing[138]. - "Regulatory Approvals" are necessary for the manufacturing and commercialization of products, including all relevant authorizations from governmental authorities[145]. - "Permitted Cash Equivalent Investments" include marketable obligations and commercial paper with specific maturity and rating criteria[125]. - "Prohibited Payment" refers to any illegal payments made to government officials or related entities, which are strictly forbidden under law[139]. - "Obligor Intellectual Property" includes all intellectual property owned or licensed by the Obligor, which is critical for its operations[113]. - "Product Assets" consist of all rights and interests related to a product, including intellectual property and regulatory approvals necessary for its commercialization[136]. - "Other Taxes" refers to various taxes arising from payments made under loan documents, excluding connection taxes[118]. - "Permitted Indebtedness" includes any debt that is allowed under specific sections of the agreement, ensuring compliance with financial covenants[126]. - The Borrower must provide a detailed notice of any Accounting Change to the Administrative Agent[178]. - All financial calculations for compliance must adjust for any acquisitions or dispositions of assets[179]. - The Borrower is required to negotiate amendments to provisions affected by any Accounting Change[178]. - The Borrower must provide a written reconciliation of calculations before and after any Accounting Change[178]. - The term "Solvent" is defined based on the fair value of property exceeding total liabilities[158]. - The term "Unrestricted Cash" refers to unencumbered cash held in a Controlled Account[174]. - The term "Sanctions" includes economic or financial sanctions imposed by Governmental Authorities[151].